We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Mortgage and an amalgamation project

benjsouthlondon
Posts: 1 Newbie
Hi all,
Am consulting my broker about this but keen to hear any other views or experiences of handling mortgages through an amalgamation project.
In short, we own a two-bed ground floor flat and have an opportunity to purchase the upstairs flat. If we proceeded we would have planning in place and the flats would revert to a single title on completion.
The existing flat we own is currently mortgaged (about 30% of value), and we are 1.5 yrs into a decent 5-year fix.
Whilst we do not need additional borrowing to buy upstairs, we would need to continue borrowing at the same level (or ideally a little more in order to complete renovation work).
I understand our only real path is to source bridging finance, accept the ERC on the existing loan, complete on the purchase and then secure a new mortgage to pay back the bridging finance and get the necessary funds to do the work. However, ideally we'd of course love to port the existing mortgage to the 'new' amalgamated property but I believe this is nigh on impossible.
Any views or experiences people can share?
Am consulting my broker about this but keen to hear any other views or experiences of handling mortgages through an amalgamation project.
In short, we own a two-bed ground floor flat and have an opportunity to purchase the upstairs flat. If we proceeded we would have planning in place and the flats would revert to a single title on completion.
The existing flat we own is currently mortgaged (about 30% of value), and we are 1.5 yrs into a decent 5-year fix.
Whilst we do not need additional borrowing to buy upstairs, we would need to continue borrowing at the same level (or ideally a little more in order to complete renovation work).
I understand our only real path is to source bridging finance, accept the ERC on the existing loan, complete on the purchase and then secure a new mortgage to pay back the bridging finance and get the necessary funds to do the work. However, ideally we'd of course love to port the existing mortgage to the 'new' amalgamated property but I believe this is nigh on impossible.
Any views or experiences people can share?
0
Comments
-
As you will need the permission of your lender, they would be the best first port of call to see if your plan is viable.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.4K Banking & Borrowing
- 252.9K Reduce Debt & Boost Income
- 453.3K Spending & Discounts
- 243.4K Work, Benefits & Business
- 598K Mortgages, Homes & Bills
- 176.6K Life & Family
- 256.5K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards